Central Bank of Sri Lanka says the troubled Central Investments and Finance Limited has not collapsed as claimed by some and is being restructured.
The Bank says if the company, which is under a new managing agent diligently follows the path that would be prescribed by it, the finance firm can be nursed back into a healthy position.
In a public awareness notice published, the Central Bank also notifies stakeholders that plans are underway to bring in a new investor to the CIFL.
The Bank, however says a regulator cannot give a blanket guarantee for depositors about the success of a Non Banking Financial Institution coming under its purview.
It says in case, a financial firm collapse, it would compensate a depositor with a maximum of Rs. 200,000 via the Deposit Insurance Fund, which all regulated NBFI’s contribute.
CIFL is currently under pressure struggling to pay back its depositors money.